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If actual inflation was 4 percent over the past year and you owned a one-year bond that paid 6 percent interest, what was your after-tax realized real interest rate if your tax rate was 15 percent? 1.1 percent −0.6 percent 0.0 percent 2.0 percent

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If actual inflation was 4 percent over the past year and you owned a one-year bond that paid 6 percent interest,

what was your after-tax realized real interest rate if your tax rate was 15 percent?

1.1 percent

−0.6 percent

0.0 percent

2.0 percent

 
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